F—18 Navy Air Combat Fighter
Total Page:16
File Type:pdf, Size:1020Kb
74 /2 >Af ^y - Senate H e a r tn ^ f^ n 12]$ Before the Committee on Appro priations (,() \ ER WIIA Storage ime nts F EB 1 2 « T H e -,M<rUN‘U«sni KAN S A S S F—18 Na vy Air Com bat Fighter Fiscal Year 1976 th CONGRESS, FIRS T SES SION H .R . 986 1 SPECIAL HEARING F - 1 8 NA VY AIR CO MBA T FIG H TER HEARING BEFORE A SUBC OMMITTEE OF THE COMMITTEE ON APPROPRIATIONS UNITED STATES SENATE NIN ETY-FOURTH CONGRESS FIR ST SE SS IO N ON H .R . 9 8 6 1 AN ACT MAKIN G APP ROPR IA TIO NS FO R THE DEP ARTM EN T OF D EFEN SE FO R T H E FI SC AL YEA R EN DI NG JU N E 30, 1976, AND TH E PE RIO D BE GIN NIN G JU LY 1, 1976, AN D EN DI NG SEPT EM BER 30, 1976, AND FO R OTH ER PU RP OSE S P ri nte d fo r th e use of th e Com mittee on App ro pr ia tio ns SPECIAL HEARING U.S. GOVERNM ENT PRINT ING OFF ICE 60-913 O WASHINGTON : 1976 SUBCOMMITTEE OF THE COMMITTEE ON APPROPRIATIONS JOHN L. MCCLELLAN, Ark ans as, Chairman JOH N C. ST ENN IS, Mississippi MILTON R. YOUNG, No rth D ako ta JOH N O. P ASTORE, Rhode Island ROMAN L. HRUSKA, N ebraska WARREN G. MAGNUSON, Washin gton CLIFFORD I’. CASE, New Je rse y MIK E MANSFIEL D, Montana HIRAM L. FONG, Hawaii GALE W. McGEE, Wyoming TE D STEV ENS, Alaska WILLIAM PROXMIRE, Wisconsin RICH ARD S. SCHWEIKER, Pennsylva nia JO SE PH M. MONTOYA, New Mexico DANIEL K. INOUYE, H awaii Ex Officio M embers F rom th e C om mittee on A rmed S ervices STUART SYMINGTON, Missouri STROM THURMOND, South Carolina HENRY M. JACKSON, Washin gton J ames R. C alloway Chief Counsel and Staff Director Guy G. M cConnell , R ichard D. L ieber man , D ouglas A. A llen , J ames A. F ellenbaum , and J oel E. B onner (Mino rity ) Staff A ssistants, Department of Defense Appropriations Subcommittee C O N T E N T S CONGRESSIONAL WITNESSES Page Opening remarks of chairman____________________________________ 1 Stateme nt of Hon. Daniel K. Inouye, U.S. Senator from Haw aii_______ 4 Statement of Hon. Barry Goldwater, U.S. Senator from Arizona_________ 6 Letter from Pr at t & Whitney____________________________________ 15 Hon. Lawton Chiles, U.S. Senator from Florida : Letter from_________________________________________________ 20 Statement of________________________________________________ 29 Prep ared statement of Hon. John Tower, U.S. Senator from Texas_____ 38 GEN ERA L ACCOUNTING OF FICE Statement of Paul G. Demhling, General Counsel____________________ 41 NONDEPA RTMENTAL WITNESSES Statement of George A. Spangenberg, McLean, Va____________________ 49 DEP ART MENT OF DE FENSE Offic e of the S ecretary Statement of William P. Clements, Deputy Secretary of Defense________ 69 Letter from : William P. Clements, Deputy Secretary of Defense_______________ 73 Hon. George Mahon, U.S. Representative from Texas____________ 74 Hon. John L. McClellan, U.S. Senator from Arkansas____________ 74 Prep ared stateme nt of Vice Adm. William D. Houser, USN, Deputy Chief of Naval Operations (Air Warfare)_____________________________ 95 DEPARTMENT OF TH E AIR FORCE Stateme nt of Lt. Gen. James Stew art, Commander, Aeronautical Systems Division, Wrig ht-Patterson AF Base, Ohio_______________________ 103 Questions submitted by Hon. Strom Thurmond, U.S. Senator from South Carolina --------------------------------------------------------------------------------- 104 (in) DEPARTMENT OF DEFENSE APPRO PRIATION S FOR FISCAL YEAR 1976 TU ESDA Y, OCTOBER 21, 1975 U.S. S enate, Subcommittee of the C ommittee on A ppropriations, Washington, D.G. The subcommittee met at 10 a.m. in room 1223, Everett McKinley Dirksen Office Building, Hon. John L. McClellan (chairman) presiding. Present: Senators McClellan, Pastore, Inouye, Young, Hruska, Stevens, and Symington. Also present: Senators Chiles and Goldwater. F-18 NAVY AIR COMBAT FIGH TE R OPEN IN G RE MAR KS BY CHA IR M AN Chairman McClellan. The subcommittee will come to order. The Chair will make a brief statement. On May 5, 1975, this sub committee held a hearing on the lightweight fighter aircraft program, including the F-16 and F-18. These are expensive programs and they have generated considerable interest and some controversy. This hearing today has been called to further insure that the com mittee members have the opportunity to hear all of the pertinent facts and get full and detailed information relating to the lightweight fighter program. Subsequent to our hearing on May 5, the subcommittee heard De partment of Defense witnesses concerning the GAO investigation of the memorandum of understanding for the F-16 sale to Europe. We hope these hearings today will complete our inquiry into the F-16 pro gram, including the GAO decision on the protest of the LT\ aero space contract award for the F-18. SUMMARY ON GAO DECISION AND MEMORANDUM At this point I will insert in the record a summary of the GAO decision on the LTV protest and a copy of a memorandum which I sent to each member of this Defense Subcommittee regarding this meeting today. The full GAO decision will be retained in the com mittee files. [The summary and memorandum follow :] (D 2 Decision of the C omptroller G eneral of th e U nited S tates B-183851 October 1,1975. Re LTV Aerospace Corp. 1. Protest raising issues concerning inte rpretation of appropriation act and ‘‘congressional intent” as public policy will be considered in this case involving selection of a Navj’ Air Combat Fighter (NACF), whether or not timely filed, since protest raises significant issues concerning relationship of Congress and Executive on procurement matters. Issues regarding evalu ation and competition will also be considered since they are substantially intertwined with first issue and since GAO has continuing audit inte rest in NACF program. 2. Navy is not required as ma tter of law to expend funds provided in lump-sum appropriation act for a specific purpose when statute does not so require, not withstanding language contained in Conference Report. Absence of statutory re striction raises clear inference that the Report language paralleled and comple mented, but remained distinc t from, actu al appropriation made. Therefore, Navy selection of p articu lar aircraft design for its Air Combat Figh ter and resultant award of sustaining engineering contracts cannot be regarded as contrary to law. 3. While protester argues contract award by Navy should be regarded as void since it is not in accordance with public policy as expressed in congressional Con ference Rei>ort, awa rd is not contrary to statute, contract does not require any actions contrary to law, and does not represent a violation of moral or ethical standard s. Therefore no basis exists to conclude that award is contrary to public policy. 4. Although protester argues tha t Navy did not comply with DOD reprogramming directives, those directives are based on nonstatutory agreements and do not provide a proper basis for determining the legality of expenditures. 5. Provision in appropriation act which prohibits use of funds for presenting certain reprogramming requests cannot operate to invalidate contract awards even if awa rds resulted from reprogramming action since a violation of such pro vision cannot serve to invalidate an otherwise legal contract award. 6. Protester’s assertion that Navy properly could select only derivative of model selected by the Air Force is incorrect, since reasonable inte rpretation of RFQ, read in context of applicable documents, indicates that Navy sought air craft with optimum perform ance (within cost parame ters) and with due consideration of design commonality with prior Air Force prototype program and with selected Air Force fighter. 7. Protester’s claim that Navy did not tre at offerors on equal basis is not sup ported by record, which indicates tha t overall evaluation was conducted in ac cordance with established criteria and that both offerors were treated fairly. 8. Assertion that engine selected by Navy was not authorized for use with light weight fighter is w ithout merit, since record indicates selected engine is modified version of baseline engine listed in solicitation. Also, record indicates Navy did not improperly estim ate offerors’ engine modification costs. 9. Navy’s cost evaluatio n of competing proposals was conducted in accordance with proper procedures and established criteria since the Navy’s development of its own estimates in determining cost credibility was consistent with sound pro curement practices and awa rd of contract to higher priced offeror was not improper. 10. Restriction of competition in Navy procurement for Air Combat Fighter (ACF) to offerors furn ishing designs derived from Air Force ACF program was proper even though Navy selected derivative of design different from that chosen by Air Force, since solicitation was intended to maximize commonality of both technology and hardware between Air Force and Navy designs and Navy selec tion was in accordance with solicitation criteria regarding commonality. conclusion For the various reasons discussed above, we have concluded that the Navy’ actions were not illegal or improper and that therefore the protest must b denied. As indicated in the Introduction section, the Congress has manifested sis nificant inte rest in DOD's LWF/ACF programs and has closely monitored th Navy a atte mpt to develop a lightweight, low cost fighter that could operat a i r c r a f t carriers. The stateme nt in the Conference Report oi the 197o DOD Appropriation Act that “future funding is to be contingent upoi 3 the capability of the Navy to produce a derivative of the selected Air Force Air Combat Fighter design” suggest that the Congress will be closely scrutinizing the Navy’s choice before full-scale development funds will be provided.